What’s On Our Minds

While investors have had a tough time in this year’s choppy (and ultimately flat) market, our firm has seen a major benefit from our bias toward owning dividend-paying stocks. We continue to focus on the long term. There are major forces acting in the markets right now that will have major effects in the new year. Some look positive, and some are not as rosy. We know that whatever plays out, our disciplined strategy will build wealth over time.

Last Week’s Highlights

Last week, stocks rose 3%.  It was a quiet week of trading as markets closed for the week on Christmas Eve (Thursday) at 1 PM. Energy stocks lead the market, but still remain beaten up for the year.  Many market participants hoped for more of a rally in the U.S. stock market to wrap up the year, but a combination of the strong dollar, shrinking corporate profits, slow economic growth, and depressed commodity prices continue to be a drag.  Heading into last week of 2015, the S&P is up 0.1% and the Dow Jones is down 1.5%.

Looking Ahead

After a long weekend, many investors continue to look for a year-end rally but with markets trading sideways this year, a Santa Claus rally may be too little, too late.  It will likely be a quiet week for US investors as there is very little economic news coming across the wire.